RBI Update - Reserve Bank of India (Trade Relief Measures) Directions, 2026

The Reserve Bank of India has issued the Reserve Bank of India (Trade Relief Measures) Directions, 2026 with immediate effect to mitigate the debt servicing burden on exporters arising from geopolitical tensions due to the West Asian crisis and to ensure continuity of viable businesses. These Directions have been issued under Sections 21, 35A and 56 of the Banking Regulation Act, 1949, Sections 45JA, 45L and 45M of the Reserve Bank of India Act, 1934, and Section 6 of the Factoring Regulation Act, 2011, and are applicable to regulated entities engaged in export financing, including commercial banks, co-operative banks, NBFC-Factors and All-India Financial Institutions.

Under these Directions, regulated entities are permitted to extend the tenor of pre-shipment and post-shipment export credit up to 450 days for credit disbursed till June 30, 2026. Additionally, in respect of packing credit facilities already availed by exporters on or before the issuance of these Directions, where shipment of goods could not be effected, regulated entities may allow liquidation of such facilities from legitimate alternate sources, including proceeds from domestic sale of goods or through substitution with another export order.

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